Supreme Court laments "unfortunate" delay by Delhi High Court in disposing of plea to execute ₹58 crore arbitral award against Air India

The Supreme Court on Wednesday asked the Delhi High Court to expeditiously dispose of an execution petition filed in connection with a 2016 arbitral award of ₹58 crore payable by Air India. [All India Aircraft Engineers Association v. Air India Limited and ors].A Bench of Justices PS Narasimha and Pankaj Mithal lamented the delay by the High Court in this regard, and asked its Chief Justice to assign the matter to a bench for speedy disposal."Sub Section (2) of Section 36 [of the Arbitration Act] provides that where an application to set aside an Arbitral award has been filed in the Court under Section 34, the filing of such application shall not by itself render that award unenforceable. As of today there is no interim order staying the execution of the award. It is unfortunate that the Execution Petition as well as the petition under Section 34 have been adjourned from 2016 till date."The award in the case was made on May 25, 2016. The top court noted that it could have been executed as a decree under the Arbitration and Conciliation Act..The Bench was hearing a plea by the All India Aircraft Engineers Association challenging a High Court order that had adjourned the matter to July this year.The members of the said association were erstwhile employees of the Engineering Department of Indian Airlines. They initially raised grievance with the service conditions, including pending ₹50 crore worth of dues, after the airlines was merged with Air India.The Bombay High Court had dismissed their case, and the Supreme Court while hearing appeals eventually appointed retired judge Justice BN Agrawal as arbitrator in 2014.The arbitration award was determined as:- ₹57,92,47,222 being the principal amount to be paid within three months- Simple interest at the rate of 12 per cent annualy per annum from September 2006- Interest at the rate of 18 per cent annualy per annum from the date of award till payment upon the principal sum and interest accrued within three months from the date of award- Arbitration expenses of ₹14,53,250.Given that the award was not acted upon by Air India, the association moved the Delhi High Court in 2016 with an execution petition. Air India filed its objections to the same under Section 34 of the Arbitration Act..Senior Advocate Brijender Chahar with Advocates Sameer Kumar, Shah Rukh Ahmad, Sahil Chowdhury and Mandeep Baisala represented the petitioners..[Read order]